01 The activity of the Group

Key events in FY 2019

Q1 2019

Execution of an agreement between ENEA and Electric Power Research Institute (EPRI) on cooperation in research projects on energy storage and dispersed generation.

LW Bogdanka honoured with the Mining Success of the Year award in the Innovation category for its roadway drivage technology.

Initiation of a research and development project “System of power and energy balancing and of monitoring the quality of electricity supply from dispersed sources and energy storage tanks” (MoBiSys) – implemented by ENEA Operator together with AGH University of Science and Technology in Cracow.

Construction of a photovoltaic (PV) power plant with power connections (with a total nominal capacity of 420 kW) in the area of the West Pomeranian Oncology Centre in Szczecin.

In January 2019, LW Bogdanka broke its record in monthly extraction – 903,500 tonnes of commercial coal (the previous record was set in 2014).

Construction and launch by ENEA Serwis of six charging stations for electric vehicles located next to the offices of the Distribution Branches of ENEA Operator.

Announcement by ENEA Operator, Tauron Dystrybucja and PGE Dystrybucja of a joint tender for the purchase of more than 235,000 electricity meters, of which ENEA Operator accounts for 45,000 meters.

Execution of an agreement between PSE, ENEA Operator and Tauron Dystrybucja on the coordination of the development of the transmission and distribution networks, under which a new substation will be built in the vicinity of Żagań, and the network of power lines will be expanded in the region. The total value of the project will exceed PLN 100 million.

Adaptation of the Trading Area to new legal regulations in connection with the entry into force of the Act of 28 December 2018 amending the Excise Duty Act and certain other acts and the Act of 21 February 2019 amending the Act on amending the Excise Duty Act and certain other acts (to be carried out throughout 2019), the Act on Greenhouse Gas and Other Substances Emission Management System, the Act on amending the Act on Biocomponents and Liquid Biofuels and certain other acts and the Act on Promotion of Electricity from High Efficiency Cogeneration.

Q2 2019

On 30 April 2019, ENEA S.A. concluded a memorandum of understanding with Energa S.A. on financing the construction project of a new coal unit – the planned Ostrołęka C power plant in Ostrołęka with a gross capacity of 1,000 MW.

Elections of employee representatives to the Supervisory Board of ENEA S.A. were held. All ENEA Group employees were eligible to cast their votes. Mariusz Pliszka, Maciej Mazur and Michał Dominik Jaciubek were elected as employee representatives to the Supervisory Board of ENEA S.A.

On 16 May 2019, the Supervisory Board of the Company adopted resolutions on appointing for a new joint term of office:

  • Mirosław Kowalik to the position of President of the Management Board of ENEA S.A.,
  • Piotr Adamczak to the position of Member of the Management Board of ENEA S.A. for Commercial Affairs,
  • Jarosław Ołowski to the position of Member of the Management Board of ENEA S.A. for Financial Affairs,
  • Zbigniew Piętka to the position of Member of the Management Board of ENEA S.A. for Corporate Affairs.

On 26 June 2019, ENEA S.A. issued bonds with a value of PLN 1 billion under the domestic bond programme up to the maximum amount of PLN 5 billion.

On 29 June 2019, ENEA Wytwarzanie signed a letter of intent with the Jedlińsk commune regarding RES investment within its territory. It is the 7th municipality with which ENEA formalised cooperation in the field of renewable energy sources.

Q3 2019

MEC Piła applied to the National Fund for Environmental Protection and Water Management for co-financing of the project of a new cogeneration plant combing a heat source with a RES installation. The new plant, consisting of three gas-powered units, will help reduce emissions and smog formation. The project value is PLN 48 million.

On 9 August 2019, a framework agreement was signed between the West Pomeranian University of Technology in Szczecin and ENEA Operator. The cooperation concerns analytical and conceptual works and consulting services.

On 20 August 2019, ENEA Elektrownia Połaniec signed a contract with GE Power and Stal-Systems for upgrading the electrostatic precipitators (ESPs) in six of its power units. The project is part of Połaniec Power Plant’s adaptation program to the BAT conclusions. The upgraded ESPs will improve the environmental parameters of the entire installation. Worth in excess of PLN 210 million gross, the construction works are scheduled for completion in December 2020.

During a conference on 11 September 2019 in Warsaw, ENEA Operator, PGE Dystrybucja and PGE Systemy signed an agreement on cooperation in the construction of the LTE 450 grid for the needs of the power system.

LW Bogdanka together with ABB launched an R&D project using advanced data analysis. The aim of the planned solution is to improve the efficiency of extraction by ensuring greater reliability of mining machines. The project is in progress.

ENEA Operator has completed a thorough redevelopment of the Morzyczyn – Drawski Młyn 110 kV high-voltage transmission line which was started six years ago. The value of the CAPEX investment project, which significantly improves energy security and connection possibilities in the Provinces of Szczecin (West Pomerania), Gorzów Wielkopolski and Zielona Góra (Lubuskie) and Poznań (Greater Poland) in the north-west and west of Poland, exceeded PLN 127 million.

ENEA Operator commenced the upgrade of the Warszów power substation (110/15 kV) in Świnoujście, north-west Poland. The value of the project is PLN 15.7 million. The CAPEX investment project will also receive EU co-financing in the amount of over PLN 8 million. The completion of the station upgrade is planned by the end of 2021.

On 30 September 2019, the Management Board of ENEA S.A. decided to carry out an early redemption of series ENEA0220 bonds by 14 October 2019 in order to cancel them.

Q4 2019

ENEA Group, Poczta Polska and Kolejowe Zakłady Łączności signed a letter of intent for the development of electromobility during Congress 590. The main objectives of the letter are to take advantage of business opportunities and joint implementation of projects, as well as the commitment to exchange experiences related to the use of chargers and electric vehicles. The letter is a part of the Programme for the Development of Electromobility in ENEA Group.

On 8 October 2019, Presidents of ENEA S.A. and LW Bogdanka S.A., the Bogdanka mine operator, signed a letter of intent concerning the construction of state-of-the-art photovoltaic farms with a capacity of up to 30 MW on the land of the Bogdanka mine. It is yet another project leveraging the synergies of the energy conglomerate ENEA, the majority shareholder of LW Bogdanka, and the mine operator. Under the planned cooperation, PV installations with the total annual electricity generation capacity of approx. 30,000 MWh will be built on the total area of about 55 ha in the coming years. All the zero-emission energy generated in the new installations will be used by LW Bogdanka for the purposes of the mine and its production processes.

ENEA Group and the National Centre for Agricultural Support have started cooperation on solar power development in Poland. On 11 October 2019, ENEA and its subsidiary ENEA Wytwarzanie signed a tripartite letter of intent with the National Support Centre for Agriculture to start a cooperation on the development of large-size solar photovoltaic farms on agricultural land. This initiative will contribute to achieving an overall rise in the share of renewable energy sources (RES) in Poland’s energy mix and promoting renewable energy generation in rural areas.

On 14 October 2019, as a result of the completion of the process of early redemption, ENEA purchased 1,218 series ENEA0220 bonds. Therefore, on 15 October 2019, the Management Board of ENEA S.A. adopted a resolution on cancellation of these bonds. The remaining 8,782 unredeemed series ENEA0220 bonds remain in the possession of bondholders and will continue to be listed in the Alternative Trading System organised by the BondSpot S.A. The bonds were redeemed on 10 February 2020.

On 2 December 2019, the Company received a resignation of Paweł Jabłoński from the Supervisory Board, dated 27 November 2019.

On 3 December 2019, ENEA S.A. issued bonds of the value of PLN 1 billion under the national bond issue programme up to the maximum amount of PLN 5 billion.

On 12 December 2019, by the power of a Supervisory Board resolution, ENEA S.A. accepted for implementation the Strategy for 2030.

On 30 December 2019, the President of the Energy Regulatory Office (ERO) approved the electricity tariff for G tariff groups for the period from 14 January to 31 March 2020 - the electricity sale price for the recipients in the above tariff groups was approved at the level of 289.37 PLN/MWh on average.

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